- BYD is offering 118 million shares at a discount of up to 8.4 percent to Monday's closing price of HK$363.60, according to Bloomberg.
- BYD plans to use the proceeds for R&D, expanding overseas operations, supplementing working capital and general corporate purposes.
BYD (HKG: 1211, OTCMKTS: BYDDY) is seeking to raise as much as HK$40.7 billion ($5.2 billion) through a primary placement in Hong Kong, according to a Bloomberg report today citing terms of the deal.
The terms show the company is offering 118 million shares at a price of between HK$333 and HK$345 per share.
That's a discount of up to 8.4 percent to BYD's closing price of HK$363.60 on Monday, the Bloomberg report noted.
BYD plans to use the proceeds of the offering for research and development, expansion of overseas operations, replenishment of working capital and general corporate purposes, according to the report.
BYD's stock has seen significant gains so far this year and returned to the club of companies with a market capitalization of RMB 1 trillion early last month.
As of today's close, BYD's market capitalization stood at RMB 1.05 trillion.
The company's Hong Kong-traded shares have accumulated about 40 percent gains so far this year.
BYD is the largest new energy vehicle (NEV) maker in China, selling 4,272,145 units of NEVs for the full year of 2024, up 41.26 percent year-on-year.
BYD's passenger BEVs sold 1,764,992 units in 2024, up 12.08 percent year-on-year, and passenger PHEVs sold 2,485,378 units in 2024, up 72.83 percent year-on-year.
Unlike what happened at the beginning of last year when it stimulated sales through price cuts, BYD unveiled its vehicle intelligence strategy on February 10 and began bringing free smart driving features to affordable models.
In February, BYD Group's NEV sales rebounded to 322,846 units, as the impact of the Chinese New Year holiday diminished and smart driving capabilities increased vehicle appeal.
That's up 163.95 percent from 122,311 a year earlier and up 7.42 percent from 300,538 in January.
In February, BYD sold 67,025 NEVs in overseas markets, its third consecutive record month. This represents a year-on-year increase of 187.77 percent and an increase of 1.04 percent from January.
In the January-February period, BYD Group sold 623,384 NEVs, up 92.52 percent year-on-year.
It sold 133,361 overseas NEVs in the January-February period, up 124.27 percent year-on-year.
BYD NEV sales rebound to 322,846 in Feb, overseas sales set new record
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